Can't Place Conventional Loan Title in LLC?

[Aaron Moayed]

My mom's mortgage broker told her this:

"A conventional loan, Fannie, Freddie, or VA, FHA do not allow title into a LLC. Commercial loans (5 + units apartment buildings) allow it but not for residential. Or an Alt A lender allows it but the interest rate is much higher than a conventional loan."

in response to the question - How hard is it to obtain a mortgage loan with an LLC? Is he smoking rocks, or is this true? Can you not do a conventional loan with an LLC? All LLC folks here have Alt A or commercial loan?

[Russell Brazil]

@Aaron Moayed

You can do commercial loans on sfr.

Everyone on the site just violates the terms of their mortgage, and creates a situation with an easily piercable llc by holding the mortgage in their name and the property in an llc. So they think they are protecting their assets, when in reality they are doing the opposite of what they actually intend.